FEES

Cáritas‘s total annual percentage fees: [Note: this does NOT include the underlying Exchange-Traded Fund (“ETF”) fees (which amount to between 0.03% and 0.32% per year), which are separate, and pay the Index-Fund providers themselves].

  • 0.40% on accounts between $1 million to $5 million in assets.
  • 0.30% on accounts between $5 million and $10 million in assets. 
  • 0.20% on accounts between $10 million and $100 million in assets. 
  • 0.10% on accounts of $100 million or more in assets. 

(We charge no other fees. All other fees are either waived or included in the single fee (above). This includes all buy/sell commissions on equity, fixed income, options, mutual funds, and other packaged products, as well as all other internal (or “hidden”) fees. We charge no over-the-counter fixed income spreads, venture fund development fees, high-water-mark performance fees, private equity syndicate costs, marketing and 12(b)1 fees, hedge fund purchase/redemption fees, or any other fees for consultation or investment account service (e.g., wire transfers, account maintenance fees, banking, investment management, custody, etc.).  All proprietary covered-call options commissions are included in our fee, as well.

Call Cáritas at (415) 277-5992 for more information. 

Fees are assessed per separately-managed account, based upon assets in each account, quarterly. Your satisfaction is guaranteed with our money-back fee redemption program–much like Charles Schwab’s satisfaction guarantee–and allows a client to receive a refund in any given quarter, should he client feel that service or performance warrants return of fees*.

Fees not paid to Cáritas but paid by the client to the underlying Exchange-Traded Fund (“ETF”) company (i.e., Vanguard Fund Group, BlackRock iShares, PIMCO, Goldman Sachs, State Street SPDRs, Schwab Institutional ETFs, etc.), amount to between 0.03% and 0.32% per year, depending on the asset mix and the cost to run the individual Exchange-Traded-Fund chosen for each unique portfolio (e.g., equity, fixed income, real estate, cash, commodity, ESG/SRI alternatives, etc.). 

(Note: Cáritas does not utilize any ETF with an expense ratio above 0.32%, for your protection. Many financial services companies arrange for ‘soft dollar’ quid pro quo arrangements, including proprietary product payment contracts, at the cost of performance and to the detriment of the client. Cáritas does not allow for these types of relationships to exist, by definition.)

We keep it simple, transparent, and high performance. All Index, all passive, all asset classes: With covered-call options to reduce risk. 

As an aside, much of the fee load from your current financial advisor you may not see on your statement. You may not even see it in any written correspondence or on their website. When you buy a fixed income product, for example, there’s a trading cost (the “spread” as it’s called, which pays the trader on the trading desk, as well as a credit to your advisor/consultant) which you bear. Our strategies omits these transactions fees by using fixed income ETFs which are more efficient and avoid such performance deterrents. In this way, the client receives on demand liquidity, diversity at a low cost, and full transparency on the buy and sell transaction.

And the covered-call option overlay (our proprietary risk mitigation strategy which is only employed at times of “frothy” or over-priced market conditions) is our way of safeguarding against protracted down markets, and can increase the annual income of your portfolio by roughly 2% – 4%. This added income derivative strategy is not included in most typical equity portfolios, and creates a more conservative structure for your assets, reducing beta and increasing alpha, above and beyond the typical “long-only” portfolio.

By way of comparison, mutual funds (as opposed to Exchange-Traded Funds), have fees averaging 1.35% per year for equity funds, and 0.78% for fixed income funds. And if you hire a consultant to choose those mutual funds for you, you’re going to pay another 0.30% – 0.50% per year for them to essentially serve as a broker of brokers: You don’t need this. And mutual funds can have tax inefficiencies, and cannot be traded intra-day, unlike an Index Exchange-Traded Fund (“ETF”).

AT CÁRITAS YOU PAY LESS THAN 1/4 THE FEE OF A TYPICAL MUTUAL FUND, ENJOY GREATER FLEXIBILITY, CAN SELL AT ANY TIME WITHOUT PENALTY OR COST, AND YOU ALWAYS KNOW EXACTLY WHAT YOU OWN.

Call Cáritas at (415) 277-5992 for more information.